question 3

Required information [The following information applies to the questions displayed below.] Griffin Service Company, Incorporated, was organized by Bennett Griffin and five other investors (that is, six in total). The following activities occurred during the year: a. Received $87,000 cash from the six investors; each investor was issued 10,100 shares of common stock with a par value of $0.10 per share. b. Signed a five-year lease for $175,500 for the right to use a building each year. c. Purchased equipment for use in the business at a cost of $35,000; one-fourth was paid in cash and the company signed a note for the balance (due in six months). d. Signed an agreement with a cleaning service to pay $290 per week for cleaning the corporate offices next year. e. Received an additional contribution from investors who provided $4,700 in cash and land valued at $32,000 in exchange for 2,700 shares of stock in the company. f. Lent $4,200 to one of the investors, who signed a note due in six months. g. Bennett Griffin borrowed $8,700 for personal use from a local bank, signing a one-year note. 2. Using the balances in the T-accounts, fill in the following amounts for the accounting equation: During its first month of operations in March, Volz Cleaning, Incorporated, completed six transactions with the dollar effects indicat in the following schedule: Required: 2. Prepare a classified balance sheet for Volz Cleaning, Incorporated, at the end of March